PAY PROBLEMS
Tradespeople are owed £3.5BILLION in late payments – putting Christmas at risk for millions of hard-working Brits
A fifth have pulled the plug on family celebrations
TRADESPEOPLE are owed billions of pounds in late payments across the UK, shocking new research shows.
Transit van maker Ford found Britain's army of grafters are cancelling Christmas this year due to customers failing to pay up.
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The Blue Oval automaker, which surveyed more than 500 tradesfolk and 1,000 UK homeowners, found they are owed an estimated £3.5billion.
Almost two-thirds of tradespeople experience late payments regularly with an average delay of 35 days.
The vehicle manufacturer's report also reveals tradespeople are an average of £3,942 out of pocket - equivalent to more than a month's earnings for a typical tradesperson.
And a fifth pulled the plug on family celebrations or cut back on gifts for loved ones because of cashflow problems caused by unpaid invoices.
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Meanwhile 71 per cent have experienced outright payment refusal taking its toll on home and family life.
A brazen 18 per cent of Brits admitted splurging cash that was meant to pay builders, plumbers, brickies or other tradespeople on luxuries such as meals out.
Ford's report also found 14 per cent of customers claimed they simply forgot to pay for work after receiving an invoice.
Wealthy customers were identified as being among the worst for failing to cough up on time.
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One in five toilers rely on payday loans to meet basic household bills, with three quarters of tradespeople polled regularly suffering the scourge of late payments.
More than seven in ten have faced outright payment refusal from customers.
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Two thirds of homeowners said they would stump up quicker for work done if they understood the impact of delayed payments on tradesmen and women and their families.
Arlo Masters, a lighting technician from North London, said: "I'm currently waiting on payments of around £3,500 from various customers - some of it dating back six months.
"It leaves me in a difficult position - not just for my own business and my own finances, but I also have to pay other tradespeople I have brought into a job.
"I'm forced to take on more work, just to cover my back, and then struggle to find time to chase up payments.
I'm currently waiting on payments of around £3,500.
Arlo Masters
"It's an issue that is unfortunately becoming more and more common across the UK, especially when working with wealthier customers where a few hundred quid doesn't seem like much to them, but to us sole traders it can make a huge difference."
Ford UK & Ireland commercial vehicles director Mandy Dean said: "As Britain's leading manufacturer of commercial vehicles, we've been keeping tradespeople moving for 58 years.
"They're the real backbone of Britain, keeping our lights on and our daily lives moving."
She added: "Our new research reveals the real extent of the problem - it's not just an unpaid invoice, it's a meal on a table or a present under the Christmas tree.
"The UK must do better to support these small business owners and it starts with paying on time."
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Coinciding with the research, Ford unveiled a festive content series, fronted by its Little Debt Collectors.
The unlikely duo's mission it is to get UK homeowners to stand-up and take responsibility for their actions and pay tradespeople on time.
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